Ten sets its focus on ratings and revenue, says chairman

Business Reporter

TEN Network did not offer any earnings guidance in its annual report, released on Tuesday, but the broadcaster said costs were now under control and it was looking to focus on ratings and revenue this year.

Chairman Lachlan Murdoch said while last year's performance was ''unacceptable'' Ten has been responsive and is taking immediate action to address its ratings and financial performance.

As a result of its recent cost cutting, Mr Murdoch said Ten is forecasting television costs will grow in line with inflation during the financial year. ''With costs once again under strict control, management is focused on the key drivers of our business: ratings and revenue,'' he said.

Ten said it remains focused on the under 50-year-old market ''that is so highly sought after by our advertising partners''.

The network's new chief executive, James Warburton, said the ''one-bet, one-punch'' mentality of old - a reference to Ten's previous reliance on monster hits - was gone.

''Consistency and stability were two of the key fundamentals we focused on when creating the 2013 program line-up,'' he said.

Steve Allen, chief executive of media consultants Fusion Strategy said 2013 was looking better for Ten but he warned that profitability would never be the same for the whole industry, let alone a badly performing No. 3 network.

''For a network that is in the toilet, which Ten is … you've really got a horrific problem,'' he said.

Mr Allen said the media industry was at the bottom of the advertising cycle but it might be another year before things pick up with spending on the federal election next year.